This blog post is alternately titled: The Pros and Cons of Listing
If you have been considering listing your Whitefish, Montana or Flathead Valley property this year, there’s no doubt about it, you’ve seen the local and national headlines:
“The Time To Sell Is Now” “It’s a Seller’s Market!” “Inventory is Limited”
In fact, we’ve used these phrases in previous posts before. It’s hard not to (or at least, poke fun at their over-use).
According to Fannie Mae’s recent Home Purchase Sentiment Index, 75% of responders indicated it’s a good time to sell.
Have you been considering putting your property on the market? Read on, as we break down the PRO’s and CON’s of listing in today’s market:
The Timing is Right
Typically, October sees a higher number of closings than other months. Last year alone, October 2020 had the highest number of residential closings in Whitefish, Montana in at least 12 years (note: we could only locate recorded data through 2008). Prior to the pandemic real estate boom of 2020 (where we saw Whitefish, Montana residential closings skyrocket between July (64 closings), August (80 closings), September (105 closings), October (112 closings) and November (72 closings), the next highest number of closings recorded was October 2019 at 56.
Inventory is Low
The National Association of Realtors (NAR) reported that there were 410,000 fewer single-family homes for sale this March than in March 2020. In Whitefish, Montana specifically, we saw 78 fewer single-family homes for sale in March of this year, a 68% decrease from the year prior.
While the number of homes for sale has risen since, it is well below the quantity we’ve seen during the height of summer (typically when real estate sales are at their peak).
The “Darling” of the Mountain West
To anyone who lives or visits here, it’s no surprise that Whitefish, Montana and the surrounding Flathead Valley has grown in popularity. From its proximity to Glacier National Park (where a record 294,742 visitors entered the park between Jan-May 2021, a 17% increase from the same time period in 2019), the acclaimed Whitefish Mountain Resort, Whitefish Lake recreation and endless hiking and mountain biking trails, the Flathead Valley is full of activities for recreation-seekers. Just last week, Conde Nast Traveler honored Whitefish as one of the “Most Beautiful Towns in America.” With highly-rated schools, dog parks and an international airport currently in the midst of a $100M expansion, we anticipate the popularity of the area will only rise.
Today’s mortgage rates hover near record-lows. However, industry experts forecast they’ll rise this fall, potentially deterring home-buyers from acting if rates begin to rise.
Inventory is Low
Just as with the “Pro,” low inventory might make it challenging if you are looking to purchase a new property. If you are relying on selling your property to buy another one, consider a rent/lease-back option from your potential Buyers. Curious what that might look like? Email us, we’d love to discuss this option with you.
There’s Much Work to Do
To garner top-dollar for your property, you’ll want to make sure it’s show-ready. Consider touch-up paint, deep cleaning and fixing anything broken. Depending on the amount of work needed, it might require extra time and money to get it ready to list.
Building Costs are High
If you are considering building, by now you’ve already heard of the rising costs and limited tradespeople available. In addition to the increased costs associated, time has become an even more important asset. Consider this – and any potential building delays – when planning to sell your existing property. Again, a rent/lease-back option might be worthy to consider.
So, we’ve weighed our options. If you are curious about how the above impacts your property, reach out! Our team of experienced, knowledgeable and credible agents who understand today’s market will help you understand your options and strategically price and market your property to meet your goals.
Ready to get started? Email us, we can’t wait to talk!